On June 20, Hydro Ottawa Holding Inc. (Hydro Ottawa), announced it has entered into a purchase and sale agreement with Hydro-Quebec to acquire 100% interest in the Ottawa River Ring Dam and purchase of the 27-MW Centrale Hull 2 hydroelectric generating station located on the Gatineau side of Chaudiere Falls on the Ottawa River, in the administrative region of Outaouais, Quebec, Canada.
The company currently owns 67% of interest in the Ottawa Ring Dam, all water rights and the following run-of-river facilities at the site:
- 5-MW Generating Station No. 2;
- 8-MW Generating Station No. 4;
- 700-kW Grinder Powerhouse;
- 12-MW Gatineau Station; and
- 9.2-MW Ottawa Stations (two facilities).
Upon regulatory approval of the sale and closing acquisition, expected by the end of the third quarter of 2016 according to Hydro Ottawa, the company will own 100% of the hydroelectric facilities at the Chaudiere Falls site on both sides of the Ottawa River.
During the announcement, Bryce Conrad, president and chief operating officer of Hydro Ottawa, did not disclose the purchase price.
In 2014, Hydro Ottawa announced a 40-year contract with the former Ontario Power Authority (now merged with the Independent Electricity System Operator) to expand its Chaudiere Falls site by closing the 9.2-MW Ontario Stations and building a new facility.
Construction on the new facility began in November in 2015 and is expected to be completed by 2017. It will cost an estimated C$150 million, have a total installed capacity of 29 MW and feature an underground powerhouse that will generate energy transmitted to the provincial grid.
Hydro Ottawa owns and operates two subsidiaries:
- Hydro Ottawa Ltd.-- Is a regulated electricity distribution company operating in Ottawa and the village of Casselman. The company says it is the third-largest municipally-owned electrical utility in Ontario; and
- Energy Ottawa -- Is the largest municipally-owned producer of green power in Ontario, and a provider of commercial energy management services. In addition to the six run-of-river plants it operates at Chaudiere Falls, the subsidiary operates 10 additional run-of-river facilities in Ontario and upper New York, in the USA, and also holds interests in two landfill gas-to-energy joint ventures.